'Deep concern' as Newcastle City Council moves to replace long-serving heads of key watchdog bodies

The replacement of independent experts on the council's audit and standards committees comes after a period of intense scrutiny of the behind-the-scenes culture at the civic centre

Opposition councillors have expressed ‘deep’ concerns over the loss of key figures scrutinising a North East council which has faced questions over potential bullying and a “toxic” culture.

Newcastle City Council is replacing a number of long-serving independent voices who lead two watchdog bodies that act as checks on councillors’ behaviour and the civic centre’s governance. The local authority’s move to overhaul its audit and standards committees comes after a turbulent period in which the behind-the-scenes culture at the council has come under intense scrutiny.

In October, audit committee chair Hamish Moore grilled chief executive Pam Smith over whether a toxic atmosphere or bullying was present within the council, which she refused to deny, amid rumours of major rifts between the city’s political leadership and senior officers. A member of the council’s Labour cabinet, Jane Byrne, subsequently left her post and claimed in an explosive statement that she could not “trust” staff.

• Read More: Newcastle City Council chief faces grilling over bullying and ‘toxic’ culture concerns
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Mr Moore, who is also known to have written to Newcastle Labour leader Nick Kemp recently to express concerns over the state of the council’s corporate governance, is among those now having to vacate their posts. A report ahead of a council meeting on Wednesday night confirmed that he and standards chief Mark Scrimshaw had both applied to be reappointed to their roles, but were rejected in favour of new faces to fill the positions – which must be held by outside experts without personal, business or political links to the authority.

Wendy Lawson, an independent member of both committees, was also unsuccessful at reapplying. The council had planned to reappoint Stuart Green, who sat on the audit committee, but he is now understood to have quit his post.

A spokesperson for the council said that there had been a need “for several years” to replace independent members of both committees, in line with national guidance stating their maximum term should be eight years, and that it was “grateful” to those leaving. There also remain plans to merge the two bodies into a single committee, a controversial suggestion that Mr Scrimshaw has warned risks “serious harm” to the council’s ethical framework.

Coun Colin Ferguson, leader of the council’s Lib Dem opposition, said his party was “deeply concerned that there will be no continuity in the independent members of the two key governance committees” and complained that only Labour councillors had been involved in the recruitment of the replacements. He added: “At a time when councils are under unprecedented financial strain, it’s incredibly important that we have effective internal watchdogs to ensure good decision making.

"Whilst bringing new people in, with fresh eyes, is welcome, we risk losing vital corporate memory if we lose all our experienced independent members at once. I raised this point in September, and believed the issue of continuity would be addressed. I hope this doesn’t become a problem in the future.

“I also hope that future politically independent appointments are made on a cross party basis. The public rightly expect independent members of these committees to be appointed on the basis of their expertise alone.”

Leslie Watson is due to be appointed as the new audit committee chair on Wednesday night, as well as vice-chair of standards, with John Rawling and Alison Fellows also added to that body. Mr Rawling would chair the standards committee.

A council spokesperson said: “The council has recognised for several years the need to bring in new independent members to the audit and standards committees, reflecting best practice as set out by CIPFA [the Chartered Institute of Public Finance and Accountancy]. The last time any new independent members were appointed was in 2016.

“At that time, it was said that the maximum term should be eight years, in line with CIPFA guidance. Some of the independent members have been on the committees for much longer than that.

“A recruitment exercise for new members began in April 2023 and so council agreed at its meeting in May a short extension of six months to the existing appointments. That extension has now expired and so it is proposed to appoint new independent members following the completion of that recruitment exercise. The council is grateful to those independent members who have served on the two committees for a long period of time.”

Coun Kemp has previously promised that there are “no issues around management and governance of the organisation” and “no attempt at whitewashing anything”.